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Jun 13, 2013

United shares drop significantly

The share price of Manchester United suffered a 9% hit in one day, with reports suggesting the club's rumoured interest in Ezequiel Garay is to blame.

United's shares closed at $15.16 on Wednesday - a decrease of $1.53 from just 24 hours earlier.

The British media was aflurry with stories of United reaching an agreement with Benfica for Garay on Wednesday and it is claimed the rumours impacted share activity, with holders preparing for a £17 million spend from the English champions.

Financial website Benzigna claimed that "the large cash disbursement for the defender does affect Manchester United's finances, who only reported cash of $113m as of the last filing."

It is believed United's owners, the Glazer family, have a 10% stake of the club listed on the Stock Exchange.

The retirement of Sir Alex Ferguson last month also proved a financial burden, with a 4.5% fall experienced shortly after the Scot's announcement.

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